IDT Corporation will continue to delay the spin-off of its net2phone cloud communications business. Management cited unfavorable market conditions and a need for greater scale as reasons for the pause. The company previously postponed the separation in 2022 following a downturn in technology valuations.
Growth businesses now generate approximately two-thirds of the company's gross profit. These units include net2phone, National Retail Solutions (NRS), and BOSS Money.
Net2phone revenue now exceeds $100 million following a restructuring to increase profitability. Management intends to revisit a spin-off or monetization event once capital markets improve.